MIRA INFORM REPORT

 

 

Report Date :

06.06.2014

 

IDENTIFICATION DETAILS

 

Name :

AWAL DAIRY COMPANY WLL

 

 

Formerly Known as :

Bahrain Danish Dairy Co WLL

 

 

Registered Office :

Building No. 791, Road No. 55, Block 463, Al Budaiya Highway, Jidhaf, PO Box: 601, Manama

 

 

Country :

Bahrain

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

06.05.1980

 

 

Com. Reg. No.:

992-1, Manama

 

 

Legal Form :

With Limited Liability

 

 

Line of Business :

manufacturer of dairy products, including milk, cheese and ice cream

 

 

No of Employees :

250 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Bahrain

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

Bahrain ECONOMIC OVERVIEW

 

Bahrain has taken great strides in diversifying its economy and its highly developed communication and transport facilities make Bahrain home to numerous multinational firms with business in the Gulf. As part of its diversification plans, Bahrain implemented a Free Trade Agreement (FTA) with the US in August 2006, the first FTA between the US and a Gulf state. Bahrain's economy, however, continues to depend heavily on oil. Petroleum production and refining account for more than 60% of Bahrain's export receipts, 70% of government revenues, and 11% of GDP. Other major economic activities are production of aluminum - Bahrain's second biggest export after oil - finance, and construction. Bahrain competes with Malaysia as a worldwide center for Islamic banking and continues to seek new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. In 2011 Bahrain experienced economic setbacks as a result of domestic unrest, however, the economy is recovered in 2012-13, partly as a result of improved tourism. Economic policies aimed at restoring confidence in Bahrain's economy, such as the suspension of an expatriate labor tax and frequent bailouts of Gulf Air, will make Bahrain's long-term economic challenges - youth unemployment and the growth of government debt - more difficult to address.

Source : CIA

SUMMARY

 

Company Name                                    : AWAL DAIRY COMPANY WLL

Country of Origin                                   : Bahrain

Legal Form                                           : With Limited Liability - WLL

Registration Date                                  : 6th May 1980

Commercial Registration Number           : 992-1, Manama

Membership Number                             : 224

Issued Capital                                       : BD 1,644,000

Paid up Capital                                     : BD 1,644,000

Total Workforce                         : 250

Activities                                               : Manufacturers of dairy products.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Thomas Mathew, Senior Accountant

 


COMPANY NAME

 

AWAL DAIRY COMPANY WLL

 

 

company ADDRESS

 

Registered & Physical Address

Location           : Building No. 791, Road No. 55, Block 463

Street               : Al Budaiya Highway

Area                 : Jidhaf

PO Box            : 601

Town                : Manama

Country            : Bahrain

 

Telephone         : (973-17) 598598 / 591591

Facsimile          : (973-17) 591150

Mobile                          : (973-39) 252396

Email                            : purchase@awaldairy.com

 

Premises

Subject operates from a large suite of offices and a factory that are owned and located in the Industrial Area of Manama.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

·       Ebrahim Mohamed Ali Zainal                                                             Managing Director

·       Khalid Yousef Abdulrahman Abdulrahim                                            Director

·       Yousef Salah Abdulla Alsaleh                                                           Director

·       Abdul Samad Al Khaja                                                                      General Manager

·       Jaffar Ayad                                                                                      Production Manager

·       K V Ganesh                                                                                      Finance Manager

·       Shareef Muzafar                                                                               Sales Manager

·       Ahmed Daif                                                                                      Assistant Sales Manager

·       Thomas Mathew                                                                               Senior Accountant        

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 6th May 1980

 

History                         : Subject began in 1980 under the name “Bahrain Danish Dairy Co WLL”. However on 11th March 2006 it re-registered under the new name of  “Awal Dairy Company WLL”.

 

Legal Form                  : With Limited Liability - WLL

 

Commercial Reg. No.   : 992-1, Manama

 

Membership No.           : 224

 

Issued Capital              : BD 1,644,000

 

Paid up Capital            : BD 1,644,000

 

 

Name of Shareholder (s)                                                                   Percentage

·       General Trading & Food Processing Co (TRAFCO)                             51%

·       Yousef Abdulrahman Engineer Holding Co WLL                                 49%

 

 

AFFILIATED COMPANIES

 

·       Kuwait Bahrain Dairy Co WLL

PO Box: 29342

Safat 13154

Kuwait

Tel: (965) 24675027

Fax: (965) 24673974

 

·       Bahrain Flour Co

Manama

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of dairy products, including milk, cheese and ice cream.

 

Production Capacity: 180,000 tonnes per year

 

Import Countries: Europe and the Far East.

 

Brand Names: AWAL & FABION

 

Operating Trend: Steady

 

Subject has a workforce of approximately 250 employees.

 


FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Bahraini Dinar (BD)

 

                                                Year Ending 31/12/12:               Year Ending 31/12/13:

 

Total Sales                                BD 12,835,000                          BD 13,200,000

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr Thomas Mathew, Senior Accountant

 

 

BANKERS

 

·       Ahli United Bank BSC

Building 2495

Road 2832

Al Seef District

     Manama

     Tel: (973-17) 585858

     Fax: (973-17) 580569

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                               August 2006

Amount overdue                                    0

Payment terms                                      60 days

Payment Method                                   Letters of Credit

Paying record                                       No Complaints

Currency                                               US Dollars

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.30

UK Pound

1

Rs.99.34

Euro

1

Rs.80.70

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

MNL

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

--

NB

                                       New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.